GitLab jumps after AI-driven demand drives Q2 earnings beat
BUZZ-GitLab jumps after AI-driven demand drives Q2 earnings beat ** Shares of software development firm GitLab GTLB.O jump 20.9% to $54.2 premarket
** Co reports Q2 revenue of $286.3 mln, which beat analysts' estimates of $273.1 mln - data compiled by LSEG
** Q2 adj. EPS of 24 cents, above expectations of 18 cents; Q3 revenue outlook largely in line with estimates
** CEO Bill Staples said that with AI driving more software creation, security, governance, and control tools become "increasingly valuable"
** At least five brokerages raise PT on stock
** TD Cowen raises PT to $55 from $42; says encouraged by signs of early dividends from GTLB's new pricing and more AI-generated code resulting in tailwinds for its integrated security platform
** Eight analysts rate the stock "Buy" or higher, 19 "Hold" and two "Sell" or lower, median PT at $50 -data compiled by LSEG
** Up to last close, stock has gained over 20% YTD
(Reporting by Purvi Agarwal in Bengaluru)